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Version status: In force | Document consolidation status: Updated to reflect all known changes
Version date: 28 January 2013 - onwards
  Version 2 of 2    

Regulation 4A Calculation of the amount of rebate (indebtedness discharged in part)

(1) This regulation provides for the calculation of the amount of the rebate where early settlement takes place as provided in regulation 2(1A)(b) and the debtor pays the amount by the time specified in regulation 5(2).

(2) The amount of the rebate is the amount given by the following formula -

F - K - P

where:

F = the total amount of repayments of credit that would fall due for payment after the settlement date if early settlement did not take place,

K = the total amount of repayments of credit that will fall due for payment after the settlement date if early settlement takes place; in calculating K -

(i) the amount of the credit outstanding from the debtor and the amount of the accrued charges remaining unpaid by the debtor under the agreement on the settlement date if early settlement takes place are to be determined in accordance with the formula given in regulation 4(1), and

(ii) the amount paid by the debtor to the creditor where early settlement takes place shall be treated as t

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